tv [untitled] January 21, 2014 1:30pm-2:01pm PST
motion moved and seconded arrest commissioner. commissioner ellington commissioner mondejar. >> i was abstaining. commissioner singh absent. commissioner rosales. commissioner johnson. the vote is 3 i's and one awe stipulation and one absent. thank you very much please call the next item and a regular agenda 5 b confirming the onions and sale of the agency development to the city and county 2014 series a tax leakage bonds in an amount not to exceed $17 million and final official statements and the continuing
disclosure certify and other documents and the resolution of a 42014. ma'am, director >> madam chair and ma'am, director i need to disclose i need to recuse myself because of the underwriters is a writer so i'm reoccurring myself and i'm leaving the room before the matter is entertained. >> very much chair i say it's done arrest thank you, madam chair. good afternoon to members of the public thank you for joining us. commissioners as you recall you
took a series of actions in november related to infrastructure and bonds for mission bay south this is the next step in implementing those actions now the they have been approved. we're here to consummated the sale of the bonds. with that i'd like to ask my colleague to present this item >> thank you chair johnson. i'll the director of finance. as our executive director said those bonds were approved on november 5th and accident board of supervisors by the department of finance in december. and what we're come back for is the at that time, we approved the indenture that loud for the
department of finance to review it and the commission approved the contract. at this point we'll be asking to you to approve the discloser to investors so they know the terms of those bobdz and subsequential as the finance authority to approve the purchase contract that was previously approved and the statement as the financing authority. the structure of this we went into this before is the successor agency is selling the bonds to the financing authority which sells them to the underwriters for the general market. the reason for that structure is that under california legislation and regulations by
itself the public agency of the successor agency would have to sell the bond on a competitive basis without the particular buyers of the nature of those bonds and another way is o a negotiated basis to go into the detail of the credit if those things result. if you think there my opinion might obey bias but more education and targeted concession you could make people more aware of actual realties and make it a better rate. so state law allowed for the construction of financing authorities under the state law and this particular case with the 3 development bonds as well
is it fair to say thought it was more advantageous to do it this way and the development agency bonds have been recommended to be done on a negotiated basis through a 49 authority. the financing authority was created in 1989 and set up by the board of supervisors with the commissions as the board of directors. and the successor agency to redevelopment into the authorization and they are taking on the obligations as the authority. those commission appointments become the board of directors of the financing authority. so some facts about the bond that are subject to our approval
the interest rate can't exceed 17 percent but we expect it to be less than 7 percent and we - the statement discloses the information for the investors to buy the bond and we make a promise if anything were to change this agency is responsible for notifying the material things about the bonds. although we saved $70 million based on the late numbers our team has you come up with if the interest rates were above 5 percent that the comparable to what's in the marketplace it be w be 56 to 70 million.
we're in terms of timing the limitation of moving forward we're waiting for a sub orientation of the 45 days that's where if some reason their set up to make the taxes based on our exception and, in fact, to have a one hundred and 25 percent of the needs for debt service after pass there is no to the amenities but to get a lower interest rate to make them less rick risky and this is provided for under state law we ask for tax reductions.
so in the actual tax assessed evaluation money would go to the bond hordes first and then the tax entities but it would be taller subordinated until the values comes back. they like that they like the bondholders to have the first process. but also the school district and a air quality management board can respond to this but if after 45 days we expect that day to be over by february 10th and then we hope to prices the bond by the third week in february and close in the first week of
march. with that, i'm happy to answer questions. we have members of our team here i ask them to stand up. we have john davis and bob campbell from p.s. m who's our advisors and other colleagues. chris from our bond council. and i'm sorry, of course, bill often our disclosure council if you have any questions, i'll be happy to answer them >> thank you very much any public comment on this item. >> i have one speaker card. corrin woods. >> good afternoon, commissioners i'm corrin woods i chair the mission bay sentences advisory
council. the mission group has put an amazing amount on the structure and hasn't been reinforced. their building roads and parks and doing doing everything everywhere everything to be helpful >> thank you. any other speakers cards. >> commissioner singh isn't here i wanted to ask from here how do we buy the bonds. >> the underwriter is right over there. and, yes. good afternoon >> this last speaker and i have worked together to get mission bay started.
it took a long time. i am here supporting here because she's sticking with it. i hope you pass on this item it's very important to her she's put here life and soul into this area thank you very much >> thank you very much any other speaker card. we're taking up 80 this item last fall we put in the provision we'd have a final approval of the issuance before we pass it on. any questions on this item? commissioner ellington >> yes. you mentioned the brief towards the end of your presentation about property tax. can you talk about the low and moderate income housing set
aside. how can we insure that is set aside takes place >> thank you very much for asking but that the point pr the credit didn't. >> the clerk will close the roll include the 20 percent so that 20 percent is not subordinated to those bonds and used for debt service on those bonds. >> awesome thank you. any more questions? i'd like to entertain a motion >> so moved. >> commissioners please. commissioner ellington. commissioner mondejar. commissioner singh is absent.
commissioner johnson and madam chair the chair is 3 i's and one awe stipulation. the community investment & infrastructure commission will now go into recess and we will move to the redevelopment agency financing agenda after xheemgs we'll come back into recession. so i don't think we'll take a break. so i'd like to call to order at the 133 the community investment & infrastructure commission madam secretary. >> we have a quorum. >> thank you very much. commissioner ellington. commissioner mondejar. commissioner singh is absent and commissioner rosales at about stained and a commissioner
johnson. commissioner singh is absent. commissioner rosales a bit stained all other members of the commission are present >> thank you very much only one thing i ask say we can't have an a bit stipulation. >> we can have the election of officers and then i'll have to recuse myself. >> commissioner rosales is present, however, may have an a bit stipulation we have 4 present and let me move to my thing here to try to find my agenda. >> page 5 here we go. >> 4. okay. thank you very much >> the next business is regular
agenda item 4a election of chair and vice chair. >> thank you very much. actually madam director would you like to say something about our bylaw >> certainly our building inspectors of the financing authority director las vegas stone explained the former agency commission now oc i a successor agency a separate financing authority was created and you have a copy of the informational mow as well as the amendment and the bylaw. they call for the first biennial meeting to elect a chair and
vice chair which is your first order of business on the item >> okay. thank you very much. just wanted to put that out there. so moving is there any public comment? >> i have no speaker cards. >> i guess we can do a animation for both seats. let's start with the chair position any nominations for chair and i think it's appropriate we nominate the chair to be consistent with our occ ii nominate christen joeks >> we'll do this easy the first and second. any other nomination for chair. okay hearing no one is there a second and madam secretary call
the roll on names for chair for myself >> please answer. >> commissioner ellington. commissioner mondejar. commissioner singh is absent. commissioner rosales. and then commissioner johnson >> i. the vote is 4 i's and one absent >> thank you very much let's move on to seat of vice chair. any nominations. >> i will loss nominate commissioner rosales for the vice chair position. >> thank you very much any other nominations. madam secretary call the roll >> commissioner ellington. commissioner mondejar. commissioner singh is absent. commissioner rosales. commissioner johnson >> madam chair the vote is 4 i's and one absent.
>> thank you very much and madam secretary next item. >> item 4b also the sale to the development agency the city and county for mission bay setting in an agency elevate amount not to exceed $17 million paragraphing the bond contract and the renegotiated sale of the bonds and authorizing issues for the mission bay in the south development area discussion and action was resolution 1202013. >> madam chair. commissioner rosales will you >> i need to recuse myself on this item also.
>> with that board members commissioner johnson as you heard previously this item is related to the purchase and sale of bonds. those are the next official steps for the negotiated sale for the tax allocation bonds. i'd like to invite the assistant director to provide additional remarks >> as i mentioned before this resolution i would be to proof the form of the purchase contract between the financing authority and the successor agency and the underwriters. and also to approve on behalf of
the financing authority the preliminary official statement if you have any questions, i'll be happy to answer them. thank you very much any any public comment on this item? >> i i have no speaker cards. any any public comment? ? okay. i don't have any particular comments you saw month is of the tenant are pretty much the same so i don't have any questions any questions or comments from the commissioners. okay i'd like to entertain a motion on this item. thank you very much is there a second >> call roll. commissioners. commissioner ellington. commissioner mondejar. commissioner singh is absent. commissioner rosales a bit
stained commissioner johnson. madam chair the vote is 3 i's one a bit stipulation and one recuse. this is exciting the first set of bonds so we hope the sale goes as planned but thank you very much everyone for all our hard work. okay. we need to go to the rest thoughtful agenda and reconvene the oc ii meeting. >> thank you, madam chair the next order of business is the non-agenda items. >> any public comment on this item? on the non-agenda items. okay. next item >> the next is the adjournment of the financing committee.
>> okay. i thought it was closed session. >> we have no items for closed session. >> thank you very much we are adjourned and i'd like to call back from recess into the county agenda the commission on community development and infrastructure at 152 so if someone could go out and get commissioner rosales. we'll just pause and continue with the rest of our agenda item
5 c. >> thank you very much please call the next item. >> item 5 c pursuant to the environmental quality act and approving the project for the amendment with the, llc a delaware company to allow it to be developed with 45 income rental inclusionary units and other units. recommending approval by board
of supervisors for the ordinance 2 hundred and 15 dash 12 and submitting the remedies to the board of supervisors. mission bay north redevelopment action resolution 52014. thank you, madam secretary. commissions and members of the public thank you for joining us. this particular item relates to the last remaining development site in mission bay north the last moderate income development site that is remaining all of mission bay north but this site has been finished what you have before us is a proposal to make some minor renovations to move this site forward.
with that, i'd like to ask scathing republican to present this item >> okay. there we go. all technical stuff covered. so we're going to do the overhead presentation. good afternoon, commissioners i'm katherine i'll be presenting the next two items the mission bay agenda. so as the director mentioned this is an amendment to the agreement we've done two agreements to the south this is the one to the north. and this will allow the mission bay master development who is the national real estate firm to
develop 29 unit. this will have affordable units for the market rate. i'll review the o p m academy and then i'll invite up my colleague as well as her team. we've got a lot of developers here today. so this map shows the location of the block it's the last site. it's on oddly shaped triangle shaped. it's butt the street to the south and to the east is another affordable project which the agency sponsored that's a condo project. this is an aerial view especially where the construction trailers are that's
the site and you can seeing see how awkwardly adjacent to the freeway. the mission bay north is made up of inclusionary unit and other projects. the master developers allowed for the inclusionary housing unit they're required to be broken into 3 tiers very low up to middle income low up to 70 percent and moderate chitchats one hundred and 10 percent. the unit are sold to a third party similar to what we do with nonprofits. overall the o pa between the master developer & a total of 20 percent of the units have been
to affordable pardon this the broken down under the o pa. the full build out will have 2 thousand and 64 units. this is the 29 opts. so applying the 20 percent we're required to have 5 hundred and 93 units and the developers are required to build a percentage. we have 6 hundred plus unit more than the ot a required so we're over leveling percent more than the original that was required. we have 20 more than the o pa.
this is; however, while the master developer has succeeded those a they've not provided the breakdown as required. they built one hundred opt above that was required so even though we have 20 unit more if you do the math we have the last requirement for the 80 moderate unit. this tramths to one hundred and 10 percent as a 4 percent household earning. we do anticipate that any additional moderate rate units will be built for affordable housing. the full built out in the south the oc i will have one hundred and 8 additional units. based on the affordability of the financing forces we
anticipate all the 11 hundred units to be low and there's no other tax credit that target the moderate rate. there's an inclusionary requirement that requires an inclusionary unit to target the low income. so block 4 p is the only additional income unit. so the xifs requirement is 80 unit with 49 market rate for sale for a total of 4 hundred and 29. this is a brief history of the site. it's on had one serious proposal since 1998. that developer for